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Final settlement agreement the largest settlement in Canadian history

Canada, the Assembly of First Nations, and the plaintiffs in the Moushoom and Trout class action suit signed the largest settlement in Canadian history.
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Parliament Hill

OTTAWA – Together, the federal government, the Assembly of First Nations, and the plaintiffs in the Moushoom and Trout class action suit signed a historic settlement which recognizes the harm to First Nation Children and Families.

The agreement will provide fair compensation for survivors and their families who suffered because of the discriminatory underfunding of services and the federal government's narrow definition of Jordan's Principle.

"After three decades of advocacy, and months of negotiations, the AFN is pleased with reaching terms of this historic compensation agreement for our children and families impacted by the discriminatory First Nations Child and Family Services Program and the narrow implementation of Jordan's Principle,” announced Cindy Woodhouse, Assembly of First Nations Manitoba Regional Chief. “First Nations children have always deserved to be treated fairly and equitably, and this $20 billion compensation settlement recognizes that this was not the policy nor the practice. We look forward to its ratification by the Canadian Human Rights Tribunal and the Federal Court so that compensation can begin to reach the children and families impacted."

Jordan's Principle is named in memory of Jordan River Anderson, a young boy from Norway House Cree Nation in Manitoba.

Jordan was born with complex medical needs, and he spent more than two years hospitalized and waiting to go home while the province of Manitoba and the federal government argued over who should pay for his home care.

Jordan died in the hospital at the age of five have never spent a single day with his family.

In 2007, the House of Commons passed private members motion 296 in support of Jordan's Principle; however, after many disputes, the federal government did not implement Jordan’s Principle as the family intended.

With the support of their Norway House Cree Nation community, Jordan’s family gifted his name to create a child-first principle to ensure First Nations children could access the services they need without denial, delay, or disruption.

Jordan's Principle ensures all First Nations children living in Canada can access the services and supports they need when they need them. The funding can help with a wide range of health, social and educational needs, including the unique conditions that First Nations Two-Spirit and LGBTQQIA children and youth and those with disabilities may have.

However, the government the first document was broadly defined and barely reflected the rights of First Nations communities in obtaining health care services for children.

The federal government implemented Jordan’s Principle in a manner so narrow that few First Nations children qualified.

In a landmark ruling on January 26, 2016, the Canadian Human Rights Tribunal ruled that Canada’s definition of Jordan’s Principle was discriminatory and ordered the federal government to take immediate measures to implement the full and proper scope of Jordan’s legacy.

"Truth and reconciliation challenge all of us to think and act in new ways. Our journey will be filled with moments such as this where, as a government, we need to recognize where injustices and harm have been experienced by First Nations children and families,” acknowledged David Lametti, Minister of Justice and Attorney General of Canada. “This agreement presents a renewed opportunity to work together to build a positive, healing future for First Nations children and families in Canada. I believe that if we move forward together with openness and determination, we can build a better future with Indigenous Peoples."

To reach this agreement, Canada, the Assembly of First Nations and counsel representing the plaintiffs in the Moushoom and Trout class actions have worked collaboratively over the past six months.

Plaintiffs and their counsel took the lead in proposing a structure and roll-out of compensation that best meets the needs of the class members.

Now, the next step is to bring the final settlement agreement to the Canadian Human Rights Tribunal asking for the Tribunal's confirmation that the settlement satisfies its orders on compensation.

The final settlement agreement will then be brought to the Federal Court of Canada for approval.

If approved, the process to implement the settlement will begin.

"Historic harms require historic reparations,” said Patty Hajdu, Minister of Indigenous Services.
“While no amount of compensation can make up for the grief and trauma that the actions of the Government of Canada caused to First Nations children and families, this final settlement agreement is an important step forward to acknowledging the harm done and beginning the hard work of healing. I am hopeful that the court process for approving the agreement will be quick, and people and families can have the certainty and resolution they have asked for. Canada must never repeat these discriminatory actions. We must all work together to ensure that every First Nations child has equal opportunity to succeed, surrounded by family, culture, and community."

The agreement provides $20 billion and, once approved by the Federal Court and the Canadian Human Rights Tribunal, the following groups will be eligible for compensation:

  • children who were removed from their homes under the First Nations Child and Family Services program between April 1, 1991, and March 31, 2022
  • children who were impacted by the government's narrow definition of Jordan's Principle between December 12, 2007, and November 2, 2017
  • children who did not receive or were delayed in receiving an essential public service or product between April 1, 1991, and December 11, 2007
  • caregiving parents or caregiving grandparents of the children above may also be eligible for compensation

"While money can never compensate for the loss of a childhood or the pain of family separation, this settlement will provide meaningful payments to tens of thousands of affected children and their families to help them rebuild their lives. The process of applying for compensation will be addressed by the courts in the coming months if the settlement is approved,” said Sotos LLP, Kugler Kandestin LLP and Miller Titerlie the three law firms representing the class action suit.



Clint Fleury, Local Journalism Initiative Reporter

About the Author: Clint Fleury, Local Journalism Initiative Reporter

Clint Fleury is a web reporter covering Northwestern Ontario and the Superior North regions.
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